In Saturday’s analysis, we will focus on the Altcoin Index and Shitcoin Index, which are markets that we have not seen for almost two weeks. Therefore, it is definitely appropriate to prepare a brief update. We also deal with gold more often, but there is currently a reason. Otherwise, I still see that the analyzes for gold, with a few exceptions, have a rather average readership. Which I welcome from an investment point of view, because too much interest again means that the market needs to cool down.
Crowd psychology is very helpful in this regard, because once you read the headlines from the big media that you have an asset to buy, it is most likely too late. So always think about it. When I mention the altcoin market at the beginning, the alts have generally not moved much – we are just waiting for BTC to grind.
11.06.21 Technical analysis XAU / USD (gold)
Current situation at 1D TF Altcoin Index (futures)
The Altcoin Index technically got within the framework of retracement to the center of the plotted equilibrium, which is midway between the S / R limits of 3,800 – 5,700 points. In fact, we have two of those touches, the first after a rebound from S / R level 3,800 and the second during the already mentioned retracement. However, the market could not advance higher, so we have the nearest local high from June 3.
Since then, the Altcoin Index has been gradually declining, and so far nothing seems to have changed. A certain chance was during the further testing of the S / R limit of 3,800 points, when Tuesday’s candle closed in a pretty nice form after touching. However, the fresh ignition of positive inertia was suffocated very quickly.
Now the course is again below the monitored level, without dynamics, without volumes. The market does not react to the breakthrough at all. Anyway, I still warn against volumes, because altcoins have been steadily lousy for more than two weeks. Therefore, liquidity is poor and you may have a problem. If you trade alts, keep in mind that the market can easily flush you out.
Unfortunately, I have nothing more to do with the index, everything now really depends on BTC. Another possibility is that BTC will be stable for a relatively long time. Then the altcoins could come to life. However, the most favorable will be when the king makes a bigger move. Of course, the altos will also shift.
Indicators
From the RSI, it seems that the retracement up for the Altcoin Index is over. Momentum has been clearly negative for several days, but not strong. However, we are slowly approaching 30 points. There was a fresh bearish cross on the MACD. Therefore, the positive momentum did not last too long.
In conclusion
The Altcoins are now in such a light coma and will not wake up until BTC makes a noticeable shift. I see a certain chance that alts tend to go their own way when BTC is very stable. However, the markets have been beaten up a lot and it is difficult to say whether investors will be willing to take so much risk. Unfortunately, we have to be patient for some time to come.
ATTENTION: No data in the article is an investment board. Before you invest, do your own research and analysis, you always trade only at your own risk. Cryptheory team strongly recommends individual risk considerations!
